city-states is better than states, but you still haven't gone down far enough. keep going...
once you hit the individual, stop. and then let them confederate up from there.
Discussion
That's just democracy again
not if the individuals involved don't choose for it to be.
I think inviolable property is the way. I don't really think democracy can preserve property - its a feeding frenzy of the strong taking from the weak.
But moving from democracy (socialism) to private property (capitalism) is tricky. I feel like we're obligated to make an honest effort at fixing what we have.